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The Danville Town Council is set to hear about the town’s finances over the past several months and into the near future, with an investment report on tap for Tuesday night’s regular meeting.
The quarterly report from Chandler Asset Management will cover the state of the town’s investments from September through the end of December 2022.
In the quarter covered by the latest report, the town’s portfolio saw an overall increase in market value, from $88,135,173 at the end of September to $88,846,046 by the end of December.
The increase comes as part of an overall positive trend for the account’s purchase yield, which began a rapid decline with the onset of the COVID-19 pandemic in 2020 before beginning to show signs of growth last March, according to town staff.
While financial growth in Danville is on track with national trends, financial managers point to continued economic uncertainty in the aftermath of upheaval brought on by emergency measures implemented since the onset of the pandemic, along with other market factors, as grounds for caution.
“As uncertainty has grown, the consensus market view has diverged from the Federal Reserve’s projected rate path,” Chandler staff wrote in a presentation for the upcoming meeting. “While evidence of slower economic conditions has begun to mount, we believe the Federal Reserve will continue to tighten monetary policy at a slower pace and remain restrictive for some time, and uncertainty will continue to fuel market volatility.”
In addition, they pointed to overall trends that suggest a recession could be on the horizon amid aggressive tightening of Federal Reserve policy following years of unusually accommodating measures since the outset of the pandemic.
The Danville Town Council’s next regular meeting is set for Tuesday (Feb. 7) at 5 p.m. The agenda is available here.
